Understanding What Affects Your Phone Contract Approval With Noggin HQ

If you’re reading this article, it’s likely that we weren’t able to offer you a phone contract today. To start, we want to thank you for considering us – we are truly sorry we can’t help you at this time.

That said, we genuinely believe that this article could be helpful and we hope it explains our decision more clearly. Our decision to not offer split payment terms is in no way a reflection of you as a person, and we’re very happy to review future applications if you’d like to re-apply.

If we’re unable to offer you a phone contract, it’s likely that we have a few concerns about the Open Banking data you shared (your digital bank statement) - our section “why was your phone contract application not approved” explains what our most common concerns are. 

Why was your phone contract application not approved?

There are several common factors that can influence credit decisions that can apply to anyone. However, you know your spending habits better than we do! As a first step, it might be useful to review the reasons below and see if they make sense to you. 

Below are some of the most common reasons that we are unable to approve phone contracts when reviewing your Open Banking data:

1. Gambling transactions - High or frequent gambling activity, especially relative to income, may raise concerns during our review. Reducing the amount or frequency that you gamble may strengthen your application. If limiting your gambling is something you might need help with, please visit GamCare or GA for more information and support.
2. Failed or returned payments - Multiple returned or unsuccessful payments can suggest difficulty managing funds. Staying on top of balances and budgeting for non-essential spending can help.
3. Use of “Buy Now Pay Later” - These services are a form of debt, and heavy use can raise flags during assessment. Limiting large or frequent use may make your application more favourable.
4. Excessive cash withdrawals - Large or erratic cash withdrawals can be hard to interpret and may look like risky spending. Keeping withdrawals regular and consistent is a positive sign.
5. Defaults - Missed repayments on existing credit commitments can affect how we assess new applications. Setting up automatic payments and monitoring your account can help prevent a missed payment.
6. Application Errors - Mistakes or inconsistencies on an application can result in a rejection. Double-check all details before submitting.
7. Disposable Income - We look at whether your income covers your regular expenses with room for new commitments. Keeping track of your budget can improve your ability to take on new credit plans.
8. Income Stability - Irregular or recent changes in income may be seen as less predictable. If your income has just changed, waiting a short while before reapplying may help build a more stable pattern.
9. Limited data - Sometimes we don’t see enough Open Banking data to make a “yes” decision. If you’ve only recently opened your bank account or have shared a bank account you don’t use often, we will likely be unable to serve you. If you think you’ve connected the wrong account, you can re-apply by connecting to a different bank account.

When do we recommend you re-apply?

When you should re-apply (if you’d like to!) depends on why you think it’s likely we were unable to offer you a phone contract today.

If you think you connected the wrong bank account or you made a mistake in your application, you can re-apply today! We won’t penalise multiple applications and we’re very happy to reconsider should information be updated. Please also know that applying, or re-applying, to Noggin will not affect your credit score. 

If you think your spending behaviour may have flagged as risky (e.g., a high number of returned payments), we recommend that you try to make adjustments to your spending for a period of 3-months before re-applying. This way, we can see evidence that you’re making positive changes with your spending.

If you’re unsure why you were unable to access a Noggin HQ phone contract, today we are unable to explain the exact reasons why. This is because we require a RAISP permission from the Financial Conduct Authority to display Open Banking data insights to customers. We’re working on securing this licence, and hope to be authorised very soon. We apologise that we’re unable to be more helpful at this time. That being said, our support team is always happy to try to answer any questions you may have: please email us at support@nogginhq.co.uk. 

Where can you go for help?

There are still several ways to improve your chances over time. We’ve collated some resources to guide you on strengthening your phone contract application at Noggin HQ in the future:

• MoneyHelper – A government-backed service offering free, impartial advice on budgeting, saving, and improving credit scores. → Visit MoneyHelper
• Citizens Advice – Free, confidential advice on a range of financial issues, including debt management and budgeting. → Visit Citizens Advice
• StepChange Debt Charity – The UK’s largest debt charity providing free advice and solutions like Debt Management Plans or IVAs. → Visit StepChange
• National Debtline – Free, independent advice on managing debt from the Money Advice Trust. → Visit National Debtline
• Financielle – Financielle is on a mission to help women with their money. → Visit Financielle
• Backmarket - You can find cheap devices on Backmarket that you may be able to afford out-right. → Visit Backmarket